Pages

Saturday, January 03, 2015

A lender professes to lend at Simple Interest at the rate of 15 percent per annum but the lender while lending adds the interest accumulated at the end of every four months to the principle. So the effective interest per annum would be -

In this video the above question has been solved and it has been solved using three methods.

In the first method the questions has been solved by supposing the principle as Rs. 100 In the second method the questions has been solved through the formulas given in the text books while in the third method explained the questions has been solved using the shortcut of Successive Percentage Increase which is a much easier way to solve the question.

Your suggestions, comments and feedback are welcome. You can also post your doubts in the comment section provided below.